Exhibit 99.4


                                       July 28, 2004


Board of Directors
Putnam Bancorp, MHC
PSB Holdings, Inc.
Putnam Savings Bank
40 Main Street
Putnam, Connecticut  06260

Re:   Stock Issuance Plan:
      PSB Holdings, Inc.

Members of the Boards of Directors:

         All capitalized terms not otherwise defined in this letter have the
meanings given such terms in the Stock Issuance Plan (the "Plan") adopted by
the Board of Directors of PSB Holdings, Inc. ("PSB Holdings" or the
"Company"). Pursuant to the Plan, PSB Holdings will issue a majority of its
common stock to the Putnam Bancorp, MHC and sell a minority of its stock to
the public.

         We understand that in accordance with the Plan, subscription rights
to purchase shares of common stock in the Company are to be issued to: (1)
Eligible Account Holders; (2) Tax-Qualified Employee Plans; (3) Supplemental
Eligible Account Holders; (4) Other Depositors and (5) Other Members. Based
solely upon our observation that the subscription rights will be available to
such parties without cost, will be legally non-transferable and of short
duration, and will afford such parties the right only to purchase shares of
common stock at the same price as will be paid by members of the general
public in the community offering, but without undertaking any independent
investigation of state or federal law or the position of the Internal Revenue
Service with respect to this issue, we are of the belief that, as a factual
matter:

         (1)      the subscription rights will have no ascertainable market
                  value; and

         (2)      the price at which the subscription rights are exercisable
                  will not be more or less than the pro forma market value of
                  the shares upon issuance.

         Changes in the local and national economy, the legislative and
regulatory environment, the stock market, interest rates, and other external
forces (such as natural disasters or significant world events) may occur from
time to time, often with great unpredictability and may materially impact the
value of thrift stocks as a whole or the Company's value alone. Accordingly, no
assurance can be given that persons who subscribe to shares of common stock in
the subscription offering will thereafter be able to buy or sell such shares at
the same price paid in the subscription offering.

                                                Sincerely,


                                                /s/ RP Financial, LC.


                                                RP FINANCIAL, LC.